ALGO forms a clear inverse head and shoulders pattern, holding strong support at $0.2220 ahead of a $0.25 breakout attempt.
Rising higher lows and repeated resistance tests near $0.2450 signal growing bullish momentum toward $0.2600.
Accumulation and tightening range suggest ALGO is building a solid base for a possible push beyond $0.30 resistance.
Algorand (ALGO) continues to shape a bullish technical setup as it approaches the key $0.25 breakout zone. Current price action reflects strengthening demand, higher lows, and rising momentum as traders eye the $0.2600 target.
Pattern Developments Point Toward Continuation Potential
Recent chart action reveals a broadening inverse head and shoulders pattern with tightening support at $0.2220. This structure follows several higher lows and persistent resistance tests near $0.2450. Together, these elements outline a potentially bullish continuation setup, pending confirmation.
Meanwhile, Algorand’s price action remains tightly bound within a short-term trading range between $0.2220 and $0.2450. In an analysis shared on X, the analyst noted this formation has developed over multiple sessions, with the left shoulder and right shoulder well-defined between mid and late May. The descending resistance line connecting prior highs has been tested repeatedly, showing sellers’ presence below $0.2500.
Source: Post on X
Observing price behavior, each pullback has formed a rising base, with buyers defending dips around the $0.2220 zone. According to the analyst, this consistently higher-low formation aligns with an emerging uptrend that tracks an ascending support line. A projected breakout path suggests a clean move toward $0.2600, with minimal resistance in the interim once $0.2450 is breached.
Additionally, today’s short-term candlestick structures show sharp recoveries following minor sell-offs, reinforcing aggressive buying. While the RSI and volume indicators are not shown, recent trading sessions reflect rising participation and tighter spreads, suggesting a liquid market with directional focus.
Accumulation Trend Mirrors Broader Cycle Movements
Following the recent bounce off the ascending trendline, ALGO’s broader structure continues to reflect a long accumulation followed by higher price steps. A historical view shows key resistance at $0.30 and $0.60, both levels that triggered previous cycle highs.
Source: Post on X
Furthermore, market observers note that the technical setup resembles early breakout phases seen in late 2021. ALGO’s price has respected the diagonal support drawn from early lows near $0.10, with current trading just above $0.23 reinforcing bullish pressure. Can this trendline sustain future attempts at reclaiming the $0.30 threshold?
However, the price continues forming a constructive structure with diminishing bearish strength over each cycle. Sellers remain active near $0.2450, but recurring tests point to growing upward conviction. If the trend holds, eyes will remain fixed on whether ALGO’s tightening range breaks in favor of continuation.
The post Algorand at Bullish Crossroads Near $0.25 Breakout, Support Holds at $0.2220 appears on Crypto Front News. Visit our website to read more interesting articles about cryptocurrency, blockchain technology, and digital assets.
